Service industries with physical locations (such as schools at all levels including higher education, financial institutions, residential neighborhoods, transit providers, leisure facilities, government facilities and healthcare) commonly have needs for protective services. Public concerns about crime and terrorism have fueled the demand for trained security professionals in order to promote public confidence in their environment. Natural resource-related industries are a fast-growing segment of our economy, especially oil and gas producers, nuclear facilities, related shipping concerns and mining operations. They all share the need to protect assets and employees. Offsite security, largely remote monitoring, is being more widely used. Security personnel monitor cameras and data in order to protect both electronic and physical assets. Public concern with identity security has raised the bar considerably for businesses to protect their customers and their own identity, creating a new hybrid group of specialized consultants.
With a wider range of clients hiring security guards, there is a greater need for qualified agencies to screen candidates and keep an adequate supply of guards. Many guards are expected to perform a wider variety of duties in addition to their primary function of safety. There is a greater demand for specialized services, both in monitoring remote systems and understanding specific needs for different industries. Training and skill levels have improved due to the influx of former law enforcement officers who have been displaced by dwindling public funding.
Staffing agencies providing the guards face their own business challenges. In-house training can help their employees remain competitive, but produces pressure on the bottom line. Agencies must meet payroll and expansion needs while awaiting collection from their customers, creating a gap in liquidity. Banks are not always the most appropriate sources of working capital for service companies as they often focus on the personal assets of the owners. The majority of staffing company assets are centered in accounts receivable, making them the most relevant source of working capital. At BusinessCash, we specialize in funding payroll and growth based on accounts receivable factoring.
BusinessCash has been offering payroll funding through accounts receivable factoring, AR management and credit protection for security guard service companies for over 20 years. Funds are advanced at a discounted rate (typically 92%) to help meet payroll and expansion needs. This source of working capital can help ease liquidity pressure for growing staffing companies, even offering same day payroll funding.